by Ethan Faverino | Aug 14, 2025 | Economy, News
By Ethan Faverino |
Intel Corporation is under fire following its receipt of significant funding from the CHIPS and Science Act, followed by recent job cuts nationwide and hiring a new CEO with ties to the Chinese Communist Party (CCP).
In November of 2024, the U.S. Department of Commerce finalized $7.86 billion of taxpayer dollars to Intel under the CHIPS and Science Act to support semiconductor manufacturing and advanced packaging projects in Arizona, New Mexico, Ohio, and Oregon.
This funding, part of a broader $100 billion investment plan by Intel, was intended to boost U.S. semiconductor production, create thousands of jobs, and enhance national security by reducing reliance on foreign supply chains.
In Arizona, the award was expected to support the construction of two new fabrication plants and the modernization of an existing facility at Intel’s Ocotillo campus in Chandler, creating 3,000 manufacturing jobs and over 6,000 construction jobs.
However, Intel’s announcement in August 2024 of a global workforce reduction of approximately 15,000 jobs, including 400 at its Chandler facility, has raised concerns about the alignment of these cuts with the CHIPS Act’s goal of fostering U.S. job growth.
The layoffs, part of a $10 billion cost-cutting plan prompted after a $1.6 billion net loss in Q2 2024, face criticism as Intel continues to benefit from taxpayer-funded incentives.
President Trump addressed these concerns about national job loss and a new CEO, saying, “The CEO of INTEL is highly CONFLICTED and must resign, immediately. There is no other solution to this problem. Thank you for your attention to this problem!”
This has gotten support from other GOP members across the country, with Senator Rick Scott following up, saying, “President Trump is right, Intel owes American taxpayers answers TODAY. Intel accepted tax dollars from the CHIPS Act, and instead of investing in America, they cut jobs in the U.S. and hired a CEO with a cozy relationship to the CCP. The CHIPS Act was intended to benefit America, not our adversaries. Intel should return every dime of this taxpayer funding IMMEDIATELY!”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Jonathan Eberle | Aug 12, 2025 | Economy, News
By Jonathan Eberle |
Lucid Group, the electric vehicle startup known for its luxury Air sedan, disappointed investors after missing second-quarter earnings expectations and trimming its production forecast for 2025.
The company reported $259.4 million in revenue for the quarter ending June 30, falling short of Bloomberg’s $262.4 million consensus estimate. While that figure marked an improvement over the $200.6 million recorded a year ago, Lucid posted a larger-than-expected adjusted loss of $0.24 per share and an adjusted EBITDA loss of $632.1 million.
Gross margins fell by 21%, which Lucid attributed to tariffs. The company ended the quarter with $4.86 billion in liquidity, a closely watched metric as it continues to burn cash. Production guidance for 2025 was revised to between 18,000 and 20,000 vehicles, down from the 20,000-target set earlier this year. In the April–June period, Lucid produced 3,863 vehicles and delivered 3,309, bringing its first-half totals to 6,075 units produced and 6,418 delivered.
For much of its short history, Lucid’s lineup consisted solely of the Air sedan. The automaker has recently begun ramping up production of the Gravity SUV, though early output has been modest. Fewer than 1,000 units were built in the first quarter, most of which went to Saudi Arabia, home to Lucid’s largest investor, the Saudi Public Investment Fund.
In 2016, the Arizona State government made a deal with Lucid to open operations in Arizona. At that time, the Arizona Republic reported that the company could receive as much as $46.5 million in taxpayer subsidies over time. The company’s primary manufacturing facility remains in Casa Grande, Arizona.
In July, Lucid announced a partnership with Uber to supply 20,000 battery-electric vehicles for a planned robotaxi service over the next five years.
Lucid’s near-term sales outlook also faces headwinds from the expected expiration of the U.S. federal $7,500 EV tax credit on Sept. 30. To bolster its stock price, the company plans a 1-for-10 reverse stock split, which would lift shares to roughly $10 based on current valuations and help avoid the risk of trading below $1. Shares of Lucid (LCID) fell nearly 2% following the earnings announcement.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
by Matthew Holloway | May 31, 2025 | News
By Matthew Holloway |
The National Endowment for Democracy (NED), created in 1983 as a “resource for information related to democracy worldwide,” has found itself in the crosshairs of Arizona Congressman Eli Crane (R-AZ02). Crane has introduced the Defund the National Endowment for Democracy Act of 2025, a measure designed to strip the private institution of all taxpayer funding on the basis that it “evolved into a key contributor to global censorship campaigns, domestic propaganda, and regime change politics.”
In a statement released Thursday, Crane told supporters, “I’m proud to introduce this sensible measure to ensure that American resources are no longer used to support this organization’s anti-American objectives. Hardworking citizens should not be forced to foot the bill for anything that undermines freedom of speech and liberty.”
He continued, “The National Endowment for Democracy has strayed far from its original mission. We owe it to the American people to protect their interests and put an end to this disgusting waste of their money.”
In an in depth investigation published in August 2024, Tim Meisburger wrote for The Heritage Foundation that although the NED is required to be bipartisan, “[it] is led and staffed almost entirely by Democrats, and its board members and ‘experts’ have sought to delegitimize the Republican party.”
The report laid out in detail that through a series of grants, the NED “has supported development of the international ‘disinformation industrial complex’—including one grantee that sought to censor and suppress conservative speech in the United States in advance of the 2020 and 2022 elections.” It also added that starting in 2019 during the hotly contested 2020 Presidential Election, the endowment’s budget nearly doubled, exploding from $180 million annually to $300 million.
The report further observed the integration of the NED within the bureaucratic ecosystem of the Department of State, which during the first Trump administration maintained a character largely hostile to the president. Meisburger wrote, “Legislation requires the NED to ‘consult with the Department of State on any overseas program funded by the Endowment prior to the commencement of the activities of that program.’”
Statements from prominent board members Anne Applebaum and Rachel Kleinfeld cited in the report from Heritage are particularly alarming, with Applebaum saying of Republicans that “they aren’t even a legitimate political party.” While Kleinfeld wrote, “The embrace of violence and intimidation as a political tactic by a faction of the GOP will cause violence of all types to rise—against all Americans.” She added, “I am a Democrat, and I believe that that is very important right now: because the Republican party is in thrall to this anti-democratic force.”
Of the ostensibly Republican members of the board, which is statutorily split along partisan lines, only a single member donated to President Trump’s campaign “while others made significant contributions to Never Trump political action committees and candidates,” suggesting a strong sentiment against Trump-supporters.
Posting to X on Thursday Crane wrote, “We must end this disgusting waste of taxpayer resources.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
by Matthew Holloway | Oct 24, 2024 | Economy, News
By Matthew Holloway |
While the Biden-Harris administration is still boasting of the success of the CHIPS and Science Act, the Intel Corp. announced it will cut 15,000 jobs across the nation, “as part of the broad-based cost savings plan.” New reports show that almost four hundred of those job cuts will be at the company’s Ocotillo campus in Chandler.
As reported by Phoenix Business Journal, the series of layoff has come despite an upcoming injection of billions of taxpayer dollars via the CHIPS Act aimed at expanding the Chandler facility. Intel as a whole has approximately 12,000 employees in Arizona.
In a written statement Intel explained, “As part of the broad-based cost savings plan we announced in August, we are making the hard but necessary decisions to reduce the size of our workforce. These are the most difficult decisions we ever make, and we are treating people with care and respect. These changes support our strategy to become a leaner, simpler and more agile company as we position Intel for long-term sustainable growth.”
According to The Center Square, the office of Arizona’s Democrat Governor Katie Hobbs was quick to announce the mobilization of state taxpayer-funded resources being made available to the laid off Intel workers.
Spokesman Christian Slater told the outlet, “The Governor’s Office is already mobilizing rapid response resources at DES to connect affected workers with the resources they need to receive support and find new employment. Ensuring that every Arizonan has access to good-paying jobs is a top priority for Governor Hobbs, and she will continue bringing together workers and businesses to navigate challenges, create jobs and build an economy that helps every Arizonan thrive.”
In an August statement, Hobbs stressed Intel’s expansion in the state after the non-specific “cost savings plan,” was announced saying, “They’re expanding here. We’re thrilled to have their expansion here. We’re working with them on workforce initiatives to grow the skilled pipeline of workers that they need. We’re continuing to do that.”
Any direct mention of the billions of dollars earmarked for Intel via the CHIPS Act was decidedly absent from the Hobbs administration’s statement. However, a statement from the office of Senator Mark Kelly (D-AZ) doubled down on the multi-billion-dollar giveaway, which failed to prevent the layoffs.
Kelly’s office wrote that the round of layoffs, “further underscores the importance of the CHIPS Act.” His office added, “American companies like Intel are facing unprecedented competition from China, but thanks to the CHIPS Act, we’re making sure Intel, and other companies can manufacture the most advanced chips right here in America—creating thousands of construction jobs, and generating even more good-paying, permanent technician jobs in Chandler and across the state that don’t require a four-year degree.”
As reported by the New York Post in August, despite the passage of the CHIPS Act, Intel suffered a staggering $1.6 billion in losses, with CEO Pat Gelsinger saying, “Simply put, we must align our cost structure with our new operating model and fundamentally change the way we operate,” per the memo published to the firm’s website. “Our revenues have not grown as expected – and we’ve yet to fully benefit from powerful trends, like AI. Our costs are too high, our margins are too low.”
When the initial announcement broke in August, Republican Senate candidate Kari Lake placed the blame for Intel’s problems squarely on the Biden-Harris administration in a post to X, writing, “For over 45 years, Arizona has been Intel’s U.S. manufacturing powerhouse. In the last job reports, Intel Shares plunged 20%, forcing them to lay off more than 15% of their employees. These are the devastating consequences #Bidenomics is having on our state. In the US Senate, I will work with President Trump to cut the deficit, turbocharge the economy, & bring back good jobs so that all companies both big & small can thrive in State 48.”
Intel’s CEO also noted that staff drawdowns through voluntary exits in September via “early retirement and separation offerings,” already had the company almost halfway to its 15k downsizing goal. But Gelsinger warned at the time, “We still have difficult decisions to make and will notify impacted employees in the middle of October.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
by Staff Reporter | Sep 15, 2024 | News
By Staff Reporter |
The Arizona Free Enterprise Club (AFEC) is demanding an investigation into an alleged misuse of taxpayer funds by Secretary of State Adrian Fontes.
AFEC published a press release on Tuesday accusing Fontes of misusing taxpayer funds by filing a “politically motivated” brief in the ongoing Arizona Supreme Court case, Smith v. Fontes. The organization also requested that Fontes recuse himself from all ballot tabulation procedures concerning the other initiatives.
“By filing his brief at the Arizona Supreme Court, Fontes unequivocally signaled his position that 40,000 duplicate signatures should be ignored and counted in favor of passing Proposition 140,” said AFEC in its press release. “In short, to Fontes, the ends justify the means to ensure that Arizona’s elections system can be operated like California’s radical system.”
AFEC and other critics compare the components within Proposition 140 to current election procedures exercised by California.
Proposition 140 seeks to remove the partisan split in primary voting — instead implementing open, or “jungle,” primaries — and determine winners using ranked-choice voting. Ranked-choice voting allows voters to rank their preferred candidates each election until one candidate accrues over 50 percent of the vote.
That claim of political motivation stems from Fontes’ role as a “team member” for the nonprofit organization (Save Democracy) supporting the political action committee (Make Elections Fair Arizona) pushing Proposition 140. Those two entities are also united by the involvement of Sarah Smallhouse as their president and treasurer, respectively: a longtime Democrat donor from Tucson who served as leadership for a University of Arizona board and the Southern Arizona Leadership Council.
Fontes’ brief petitioned the court to count any votes cast for Proposition 140, even if the ongoing review of the ballot-qualifying signatures determined that there weren’t enough signatures gathered. Fontes argued that the proposition should be considered valid since the ballots were already being printed with the contested proposition on them.
“Once the ballots have gone to print, it is in the hands of Arizona’s voters,” said Fontes. “The person contesting an issue (or candidate) can make a case to the voters, but the Courts cannot usurp the voters’ decision once it goes to them.”
AFEC sued to stop Proposition 140 earlier this summer after reportedly discovering that over half of the gathered signatures were in violation of state law — around 40,000 duplicates. Should all those alleged duplicate signatures be removed, the proposition would lack the number of signatures required to qualify for the ballot.
AFEC President Scot Mussi said in a statement that Fontes’ brief amounted to the secretary of state taking a side in a ballot measure rather than maintaining an impartial role in the elections process.
“Far from acting as a fair and impartial elections chief, Fontes has officially taken a side in a controversial measure that would be potentially on the ballot, showing Arizonans that he is using taxpayer dollars to make the case for a California-style amendment that would fundamentally transform the way we vote and select our candidates for public office,” said Mussi. “This is not saving democracy; this is trampling the will of the people and the laws that govern how elections should be executed.”
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